The Staffing Stream

On July 1, the Department of Labor’s new rule on overtime takes effect. The impact could be far reaching. In early June, Republicans in Congress launched an effort to block the rule. Meanwhile, our team nationwide is working with clients to help them understand the rule, its implications and the workarounds to ensure a stable and steady workforce. The new rule increases the pay levels at which a salaried employee becomes exempt from the requirement to pay overtime.

In the staffing and recruiting world, the rise of IoT devices and applications is revamping the industry. From AI-powered ATS (Applicant Tracking System) to smart devices like Google glasses, smart badges, digital kiosks, smartphones, smart bands, and tablets, IoT is revolutionizing recruitment. Recruiters can share candidate data seamlessly and leverage chatbots to automate tasks. IoT even creates interview schedules and sends invites, while new hires use smart devices for digital onboarding.

“Vital” and “critical”  are often used to describe software systems that keep business systems functioning — i.e., security must be installed to protect vital business information. These words get the point across and have an even higher meaning when applied to healthcare systems, the maintenance of which is critical to maintaining vital functions for sustaining human life.

More and more staffing firms are transitioning from traditional practices to digital staffing platforms. This change has sparked a common misconception that the adoption of staffing platforms means the diminishing need for human recruiters. This belief, however, couldn’t be further from the truth. In reality, while the role of recruiters on these platforms shifts, it becomes less about the volume of work and more about the quality and impact of their contributions.

In the staffing world, particularly in an agency setting, efficiency is paramount. As new technologies continue to emerge, it’s instinctual to want to jump on what’s new to stay ahead of the game. But what’s new might not be what’s right — at least not for everyone all the time. I’ve worked in the staffing industry for two decades, and just like a lot of you reading this, I started as a recruiter.

There’s no doubt that diversity, equity and inclusion (DE&I) has recently experienced a re-evaluation as companies grapple with everything from confronting political and legal concerns to meeting financial and productivity objectives. In some cases, organizations are rebranding the work in an attempt to shift the focus onto inclusion and away from diversity. But research shows that it makes good business sense not to abandon the principles associated with DE&I.

As we move into the second half of 2024, the recent turmoil in the staffing industry likely continue through the remainder of the year. A trend contributing to the state of the category represents the continuation of a fundamental shift in the employment market over the past four years: fewer people actively participating in the traditional employment market. Whether because of the ongoing strength of the gig economy or other reasons, more jobs exist than people to fill them.

As we close out the first half of 2024, positive indications are starting to appear. The latest UK GDP figures released by the Office for National Statistics (ONS) revealed that the UK economy grew by 0.6% in Q1, which is welcome news following the “technical” recession of the latter part of 2023 when the UK posted two consecutive quarters of negative growth (consecutive declines of 0.1% and 0.3% in Q3 and Q4 2023, respectively).

Staffing firms seeking profitable growth opportunities may consider adding managed services to their offerings. This model, which involves outsourcing the management of a service to a dedicated provider, can result in stability and guaranteed output for clients. Most notably, it allows organizations to focus on core business activities while experts handle functions such as website development, help desk, payroll and marketing for a flat rate.

As more providers introduce AI solutions geared toward hiring and talent management, it can be confusing to differentiate between which solutions provide real value to your organization and which are just marketing hype. Not all claims made by AI providers are grounded in reality. Any provider can make unsubstantiated claims, so it’s crucial to discern between marketing assertions and actual implementation.